Wal-Greens is buying USA Drug. That is the parent company for Drug Warehouse, Mayes and Med-X. Wal-Greens will pay $438-million for the chain. The local drugstores are expected to stay open under their current names, at least in the short term, as Wal-Greens looks at the most effective way to merge.
“This acquisition expands our business in an important region of the country,” said Walgreens President and CEO Greg Wasson. “It will provide significant new pharmacy business for us in this region while also enabling us to bring the Walgreens experience to many additional smaller communities where USA Drug has developed strong operational expertise.”
The transaction is subject to satisfaction of regulatory requirements and other closing conditions, and is expected to close around Sept. 1, 2012. Walgreens currently expects that the transaction will not have a material impact on earnings per share in fiscal year 2012.